Flow Traders rises on Q1 beat led by market volatility, inflation

Flow Traders

22/04/2022 09:11

** Shares in Flow Traders  FLOW.AS  are up 4.3% after the
Dutch trading services provider published Q1 update above
expectations  urn:newsml:reuters.com:*:nFWN2WJ1W6
    ** The group reported normalised EBITDA up 121%
quarter-on-quarter at EUR 72.2 million ($78.21 million) for
January-March period, while net trading income came in at EUR
148 million, 15% above company-compiled consensus and beating
analyst estimates
    ** ING notes the "big beat" came mostly from EMEA, the
company's home market
    ** ING and KBC both believe the stock market volatility
caused by the Ukraine invasion benefited Flow Traders, while the
latter adds the inflationary environment was also favourable
    ** KBC upgrades rating on the company's shares to
"accumulate" from "hold", "expecting a positive trading
environment for Flow Traders for the majority of the year,
though likely to a lesser extend of what we have seen in Q122"
    ** The company guides for fixed cost growth of 15% for 2022
as it shifts its compensation mix towards higher fixed salaries
in order to attract and retain talent
    ** Shares are on track for their best day in nearly two
months

($1 = 0.9232 euros)

 (Reporting by Olivier Cherfan)
 ((olivier.cherfan@thomsonreuters.com))